American Bitcoin Corp. has announced a significant corporate action aimed at stabilizing its stock price ahead of Nasdaq’s listing requirements. The company is set to carry out a 1-for-15 reverse stock split effective July 2 at 5 p.m. ET. This move is designed to elevate the per-share price, ensuring that the stock remains compliant with Nasdaq’s minimum bid price rule.
Following a sharp decline, ABTC shares recently hit a new low on Wednesday, trading at approximately $0.6122. The stock has plummeted over 41% in the last month and is down nearly 86% compared to its price a year ago. The decision for the reverse split comes in the wake of these troubling figures, with the stock price hovering around $0.636.
Under the reverse split plan, every 15 shares of the company’s outstanding Class A and Class B common stock will be consolidated into one share. As a result, the total share count will decrease significantly from approximately 1.09 billion to about 73 million. This reduction aims primarily to enhance the company’s share price and maintain its listing on the Nasdaq Capital Market, which stipulates adherence to minimum bid price requirements. Notably, shareholders will not need to take any action, and any fractional shares resulting from the split will be converted to cash.
The reverse split received approval from shareholders during the annual meeting on June 22 and was subsequently finalized by the board at the 1-for-15 ratio. While reverse splits can serve as a remedy for companies facing low stock prices, they can also be perceived by investors as a sign of underlying weakness, as they artificially inflate the price per share without altering the market capitalization.
American Bitcoin Corp., co-founded by Eric Trump and majority-owned by Hut 8 Corp., engages in large-scale Bitcoin mining while also accumulating Bitcoin on its balance sheet. The firm completed a public merger last September, positioning itself as a key player in building what Hut 8 describes as America’s Bitcoin infrastructure backbone.
In the broader cryptocurrency market, Bitcoin recently traded near $60,150, reflecting a 16% decline over the past month but a recovery from a 21-month low of under $58,000. This leading cryptocurrency is currently down more than 50% from its all-time high of over $126,000 achieved last October.
In relevant news, former President Donald Trump, Eric Trump’s father, recently revealed that he earned over $1.2 billion from crypto-related ventures in 2025 and holds more than $50 million in Bitcoin. Trump addressed media inquiries concerning his investments, asserting that he does not “get involved” in personal investment decisions, deferring to advisors for guidance.
